| Mighty Mom sues Pick 'n Pay for millions |
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| World and Business / Corruption | Accountability / Wednesday, 11 November 2009 18:24 |
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When Philippa Robertson Smith approached Pick ‘n Pay to get involved with the Mighty Mom initiative, the retail giant leapt at the opportunity to give something back to the millions of South African mothers who have loyally pushed their trolleys around Pick ‘n Pay shopping aisles for decades. Convinced of the huge potential Might Mom represented, Pick ‘n Pay Corporate then took on the Mighty Mom initiative under its Corporate Social Responsibility umbrella. The brain child of Robertson-Smith, Mighty Mom is a project aimed at resourcing, empowering and providing support structures to mothers in South Africa. Pick ‘n Pay committed to providing Mighty Mom with nominal funding, access to the company’s infrastructure and various channels of influence to launch Mighty Mom as a resource tool for mothers. In return, Mighty Mom diligently promoted Pick ‘n Pay as the organisation’s anchor sponsor retailer, which “significantly acknowledged the challenges mothers face” and wanted to show its appreciation for customers’ loyalty.One-and-a-half years down the road, Mighty Mom, which has since registered as a limited-liability company, fruitlessly appealed to Pick ‘n Pay not to simply pay lip-service to its pledge to support mothers, but to deliver on its promises to the company. Says Robertson-Smith, “The Mighty Mom initiative has been managed so poorly by Pick ‘n Pay that Mighty Mom has been left in the lurch by the retail giant. Despite Pick ‘n Pay’s public advertising slogans and strong brand as a company of integrity, sponsorship funds have not been forthcoming, purchases have not been paid for and the entire Mighty Mom brand has been compromised in the process.“ She said, “Relinquishing substantial control and taking direction from Pick ‘n Pay has cost Mighty Mom millions of rands in delayed delivery and promises made by Pick ‘n Pay that have been reneged on.” The Pick ‘n Pay slogan “Inspired by you” appears ironical in this context, she says. “Instead of supporting, resourcing and uplifting South African mothers, who have been the key to Pick ‘n Pay’s success, Pick ‘n Pay has left Mighty Mom’s more than 2,000 members disappointed and betrayed. The company and its employees have suffered severe emotional and financial distress. Instead of Pick ‘n Pay supporting its most important client – the South African mother - they have crushed a company which sought to bring solutions and resources to these very clients.” Mighty Mom’s attorney, Mark Finkelstein says, “After fruitless and rather ruthless negotiations on the part of Pick ‘n Pay, Mighty Mom has been left with no option but to pursue litigation against Pick ‘n Pay in order to honour its commitment to Mighty Mom. “We have informed Pick ‘n Pay that we are proceeding and that we are seeking millions in damages from the company.” However, Finkelstein would not divulge the exact amount “at this early stage”.
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with poor business ethics and woll do more harm to our society than good